3D and Internet TV stimulate fresh demand in China
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Television manufacturers in China are poised for robust sales this year as the government continues to stimulate consumer spending and technological evolution pushes people to think it's no longer good enough to have just a standard TV in the home.
Television sales in 2010 are forecast to surge almost a third to 44.3 million units, according to All View Consulting. That would follow a 10 percent gain in sales last year, when the market began to recover.
"We are at a turning point," said Chen Xiaodong, secretary-general of the China Digital Home Industry Association. "Televisions will no longer be merely display devices. Rather, they will be vital platforms for home digital 3D, Internet surfing and entertainment."
Integrating the lowly home TV set with the wonders of the digital age is fast becoming a reality. Last month, at the Las Vegas International Consumer Electronics Show, the world's largest consumer technology exhibition, Internet televisions, 3D technology and LED backlight played starring roles.
James Cameron's sci-fi spectacular "Avatar" has helped feed the 3D frenzy. The action-adventure movie has racked up US$1.859 billion in worldwide box office sales, sinking the previous record set by "Titanic" in just a little over six weeks' time.
TV makers are sparing no effort to try to cash in on the public passion for immersive media that put the viewer inside the image, redefining the ultimate home theater experience.
Domestic TV makers and their global competitors showcased their latest 3D television models at the Las Vegas show. Among Japanese manufacturers, Panasonic unveiled a 152-inch 3D screen, the largest in the world, and Sharp rolled out a 3D model imbedded with a Blu-ray player. South Korea's Samsung and LG also displayed their 3D line-ups.
According to US-based DisplaySearch, global shipments of 3D televisions will surge sixfold to 1.2 million units in 2010 from last year. The number could be 64 million units by 2018.
Sony has announced that its 3D products will hit the market this summer, and Panasonic plans to sell some of its models to Chinese consumers this year.
Domestic players TCL, Hisense and Changhong also had 3D displays at the Vegas show and are now working on retooling for mass production. No timetable was announced for introduction to the market.
Industry analysts said a thriving 3D television market will depend on content.
"The 3D industry is far from mature, and 3D-mode programs are limited," said Yang Dongwen, vice president of Chinese consumer electronics company Skyworth Group. "And producing that content is not easy."
Web revolution
Yang noted that it took 10 years and US$500 million to produce "Avatar."
"But 3D has promising potential and is, of course, the future trend," he said. "Only it takes time to improve the techniques and upgrade relevant equipment such as video players."
Internet TV is also part of the television revolution. In the Chinese market, TCL, Changhong, Haier and Konka are leading the charge to create a platform for information sharing, news updating, distance education, online shopping, chatting and interactive home entertainment. The boob tube may be tomorrow's computer.
"As the number of Chinese netizens tops 400 million, this year may experience an explosive demand in Internet TV," said Sha Gang, vice president of multimedia for Konka Group.
Konka announced in late December that the company would focus on the promotion of Internet TV in 2010 and no longer produce standard flat panel sets without Internet access after May. The company is targeting sales of 3.5 millions Internet TV units in 2010, just under half the number of flat panel sets it expects to sell.
TCL said in November it would stop manufacturing non-Internet TVs larger than 40 inches, and Changhong suspended production of average flat panels larger than 32 inches.
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